Daisy Watts
Dec 05, 2023
SaaS funding is a crucial aspect of any startup, and it’s important to know which metrics investors are looking for.
Here are the three most important metrics that will help you secure funding in 2024:
Most important metrics for SaaS funding in 2024
1. Monthly recurring revenue (MRR)
MRR is the most important metric for SaaS companies. It’s the revenue a company generates each month from its
customers. Investors look for a steady increase in MRR, which indicates that the company is growing and has a stable customer base.
2. Customer acquisition cost (CAC)
CAC is the cost of acquiring a new customer. It includes all the expenses associated with marketing, sales, and other activities that are required to acquire a new customer. Investors look for a low CAC, which indicates that the company is efficient in acquiring new customers.
3. Churn rate
The churn rate is the percentage of customers cancelling their monthly subscriptions. Investors look for a low churn rate, which indicates that the company has a loyal customer base and is providing a valuable service.
In conclusion, these three metrics are the most important ones investors look for when funding a SaaS company. By focusing on these metrics, you can increase your chances of securing funding in 2024.
